Peter Griffin Planwise Financial Services

How much will you need if you suffer a serious disability? If a family member, especially the main breadwinner, suffers a disability this can have a massive financial impact. There is every chance the lifestyle of the family could disintegrate. Even stay at home mums will have a drain on the family's financial resources.

So replacing lost income is crucial and income cover can help relieve some of that stress. As long as you are fully insured this will provide for the basics, covering mortgage or rent payments, food, and general living expenses.

But even being fully insured for lost income is not enough. Recent research shows that the weekly cost with even those with a moderate physical impairment can cost $600 per week or $31,000 per annum.

So what does the government provide? This varies depending on whether the disability was caused by illness or accident. In many cases government assistance is asset or income tested. Many people may not qualify for benefits or be able to access government assistance when they believe they need it.

Insurance can provide you with sufficient cash to be able to fund these periods and for you to make your own decisions about the care you need. Fortunately the incidences of very severe disability are low but that does not mean you should ignore it, the potential cost can be catastrophic. So talk to a Planwise adviser today about your own personal income needs don't leave it too late.